If you live in Australia, you must find out that most of the aspects regarding public liability insurance remain unchanged on the entire Australian territory. However, in some states, the laws may differ a little, and the government may have some particular requirements for a few categories of workers.
Still, this type of policy may prove to be extremely helpful for your professional success, even though it is not mandatory for you. However, even though most of the business owners from Victoria are aware that they need this insurance, only a few of them comprehend this concept properly.
This type of insurance is created for the protection of the businesses because it can dispense them from the financial consequences of civil liability.
In order to take advantage of the benefits of this insurance, you have to know first what it is. This kind of policy is going to protect your business if someone suffers an injury or his/her property is damaged because of your company’s activity. Generally, if you are sued for this type of problem, you will end up paying huge amounts of money.
This insurance will cover your business if its activity causes losses or damages to other people’s properties or personal injuries to third parties. In this category, we include your customers and other external persons.
Also, it is always good to know that public liability insurance covers the damage produced by incidents occurred in your studio, but also in other foreign locations in which you provide your services.
There are also numerous exclusions that this insurance will not cover.
First and foremost, you have to know that if one of your employees claims personal injury or damage to his/her property while doing his/her job, public liability insurance will not cover the financial consequences of these issues. For such a problem, you should have Employees Liability Insurance.
If you are at work and suffer an injury or your property is affected or destroyed by the activity of your business, this insurance will not cover these costs, either.
As it was mentioned above, this policy covers the incidents claimed by the external parties, not the internal ones – such as you and your employees. However, when you discuss with your insurer, you should talk about the disclaimer of the public liability insurance, too, to get precise information regarding this topic.
In some circumstances, the government asks for public liability insurance in order to give licences. For example, if you are a Registered Electrical Contractor in Victoria, you must have a special policy, called civil liability insurance, of $5,000,000.
In Victoria, a plumber who wants to apply or renew his contractor’s licence is not able to do this without public liability insurance. The value of the coverage is supposed to be at least $5,000,000, just like in the case of electricians.
Of course, the majority of trades do not require this type of insurance, but it is strongly recommended to opt for it to protect your business. Even though such a policy may not be mandatory, you may need it.
The truth is that the expense of this insurance in Victoria ranges widely, from $300 for a small business to many millions for a big one. The amount of money you have to pay is established by your insurer, who will take into consideration numerous risk factors.
For example, this size of the company and the number of employees will always matter, as well as the nature and scope of your business. A certain industry can tell how risky the company is and how inclined it is to claims. Another aspect that an evaluator will consider is the value of your most common complaints recorded in your activity field. The insurance cover that your business needs is another factor that influences the cost of a public liability policy.
For public liability insurance advice tailored to your business and its needs, don't hesitate to contact the expert team at Public Liability Online today. With over 7 years of experience, we have the knowledge and the skill to answer and question you may have about your business cover.